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1 mark

A certain sum amounts to ₹12,456 in 3
2
1

years at 8.5% p.a. simple interest. What will be the simple interest on the same sum in 6
4
1

years at the same rate of interest?

  1. A
    ₹5,100
  2. B
    ₹5,046
  3. C
    ₹3,060
  4. D
    ₹5,240

Solution & Step-by-step Explanation

Let the principal sum be P, the rate of interest be R=8.5%, and the first time period be T
1

=3
2
1

=
2
7

 years.

The amount A
1

after T
1

years is given by:

A
1

=P+SI
1

=P+
100
P×R×T
1




12456=P(1+
100
8.5×
2
7



)
12456=P(1+
200
59.5

)=P(
200
259.5

)
P=
259.5
12456×200

=
259.5
2491200

=9600
So, the principal sum is ₹9,600.

Now, we need to find the simple interest (SI
2

) on the same sum for T
2

=6
4
1

=
4
25

 years at the same rate R=8.5%:

SI
2

=
100
P×R×T
2




SI
2

=
100
9600×8.5×
4
25




SI
2

=96×8.5×
4
25

=24×8.5×25=24×212.5=5100
Thus, the simple interest is ₹5,100.

Practice this question

Try it yourself before checking the explanation above.

A certain sum amounts to ₹12,456 in 3
2
1

years at 8.5% p.a. simple interest. What will be the simple interest on the same sum in 6
4
1

years at the same rate of interest?
A
₹5,100
B
₹5,046
C
₹3,060
D
₹5,240

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